Bush Won The Battle, But Lose The War

Wars are won politically, not militarily. Bush doesn't understand this. He still clings to the belief that a political settlement can be imposed through force. But he is mistaken. The use of overwhelming force has only spread the violence and added to the political instability. Now Iraq is ungovernable. Was that the objective? Miles of concrete blast-walls snake through Baghdad to separate the warring parties; the country is fragmented into a hundred smaller pieces each ruled by local militia commanders. These are the signs of failure not success. That's why the American people no longer support the occupation.

The US military does not rule Iraq nor does it have the power to control events on the ground. It's just one of many militias vying for power in a state that is ruled by warlords. After the army conducts combat operations, it is forced to retreat to its camps and bases. This point needs to be emphasized in order to understand that there is no real future for the occupation. The US simply does not have the manpower to hold territory or to establish security. In fact, the presence of American troops incites violence because they are seen as forces of occupation, not liberators. Survey's show that the vast majority of the Iraqi people want US troops to leave. The military has destroyed too much of the country and slaughtered too many people to expect that these attitudes will change anytime soon.

The Bush administration has decided to pursue a strategy that is unprecedented in US history. It has decided to continue to prosecute a war that has already been lost morally, strategically, and militarily. But fighting a losing war has its costs. America is much weaker now than it was when Bush first took office in 2000; politically, economically and militarily. US power and prestige around the world will continue to deteriorate until the troops are withdrawn from Iraq. But that's unlikely to happen until all other options have been exhausted. Deteriorating economic conditions in the financial markets are putting enormous downward pressure on the dollar. The corporate bond and equities markets are in disarray; the banking system is collapsing, consumer spending is down, tax revenues are falling, and the country is headed into a painful and protracted recession. The US will leave Iraq sooner than many pundits believe, but it will not be at a time of our choosing. Rather, the conflict will end when the United States no longer has the capacity to wage war. That time is not far off.

The Iraq War signals the end of US interventionism for at least a generation; maybe longer. The ideological foundation for the war (preemption/regime change) has been exposed as a baseless justification for unprovoked aggression. Someone will have to be held accountable. There will have to be international tribunals to determine who is responsible in the deaths of over one million Iraqis.

Text taken from here.

Truth Is, America Is In a Recession now... Fifty-four percent of the CFOs that offered a prognosis in a Duke University/CFO Magazine survey of 475 CFOs said the U.S. is already in a recession. Another 24% said there's a high likelihood of a recession later this year. About 75% of them said they were "more pessimistic this quarter than in the prior quarter about the U.S. economy, reflecting concerns about consumer spending, turmoil in credit and housing markets, and high energy prices." Worse, companies have already begun scaling back plans for capital spending and are not planning any significant hiring sprees because of higher labor costs. Hardly. When the Fed cuts rates next week (75 bps cut being priced in), toilet paper will be worth more than the U.S. dollar. Ouuuch.....